Gold making charges in India range from 6% to 25% of the gold value depending on design complexity, city, and jeweller. Understanding this helps you negotiate better and avoid overpaying.
What Are Gold Making Charges?
Making charges (also called labour charges or wastage) are the fee a jeweller charges for converting raw gold into jewellery. They are separate from the gold price and GST.
Making Charges by Jewellery Type
| Jewellery Type | Making Charge Range | Why High/Low |
|---|---|---|
| Simple chains, bangles | 6% – 10% | Machine-made, less labour |
| Plain rings, earrings | 8% – 14% | Some hand finishing needed |
| Necklaces, sets | 12% – 18% | More complex design |
| Kundan, Meenakari | 18% – 25% | Highly skilled handcraft |
| Temple jewellery | 20% – 30% | Intricate traditional work |
How to Calculate Total Gold Jewellery Price
Formula:
Total Price =
(Weight in grams × Gold rate per gram)
+ Making charges (6–25% of gold value)
+ 3% GST on gold value
+ 5% GST on making charges
(Weight in grams × Gold rate per gram)
+ Making charges (6–25% of gold value)
+ 3% GST on gold value
+ 5% GST on making charges
Worked Example — 20g 22K Necklace in Mumbai (2026)
Gold weight: 20 grams
22K rate: Rs 6,850/gram
Gold value: Rs 1,37,000
Making (12%): Rs 16,440
GST on gold (3%): Rs 4,110
GST on making (5%): Rs 822
Total Price: Rs 1,58,372
City-wise Making Charge Comparison
Chennai: 8–12% (known for competitive rates) | Mumbai: 10–15% | Delhi: 12–18% | Jaipur: 15–25% (kundan work) | Hyderabad: 10–16%
Tips to Reduce Making Charges
- Buy machine-made jewellery for investment — lower charges vs handcrafted
- Compare across 3+ jewellers — making charges can vary 5–10% for same design
- Buy in bulk (wedding season) — negotiate making charge reduction
- Festival discounts — Diwali, Akshaya Tritiya often have making charge waiver
- Always get itemized bill with gold weight, rate, making charges, GST separately
Use our Gold Price Calculator with GST to calculate total price for any weight and making charge percentage.
Source: India Bullion and Jewellers Association (IBJA), Gems and Jewellery Export Promotion Council (GJEPC). Last verified: September 2026.